Baltimore - JANUARY 2017 - Prosperity Now
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JANUARY 2017 Baltimore
The Racial Wealth Divide in Baltimore
The Racial Wealth Divide in
Baltimore
Dear Reader,
The racial wealth divide is broad and deep in thousands of communities across the United States. The
issue of wealth inequality has a multitude of ramifications for communities and families.
The Racial Wealth Divide Initiative at CFED developed this profile to better understand how racial
economic inequality affects Baltimore. This profile is also one of the first steps taken under the Building
High Impact Nonprofits of Color project, funded by JPMorgan Chase. This project aims to advance best
practices and strengthen resources for nonprofits of color.
How do I use this data profile?
The following profile presents data on the economic inequalities within Baltimore. These statistics may
seem overwhelming. However, we know with more information about the challenges of racial economic
inequality, there is greater opportunity to identify best practices and policies that can address the racial
wealth divide.
Baltimore and the rest of the nation
Racial economic inequality in Baltimore is very similar to the nation. In Baltimore Blacks have a median
household income that is 54% of that of Whites, while nationally Blacks have 60% of White income. The
small Latino community in Baltimore has 70% of the income of Whites compared to Latinos having 72%
of White income nationally. The very small Asian community in Baltimore sees the biggest difference in
national racial inequality trends. In Baltimore Asians have 84% the income of Whites whereas nationwide
Asian Americans have a much higher income making 124% of what Whites on average make.
What’s next?
CFED’s Racial Wealth Divide Initiative is working in Baltimore to build the capacity of nonprofits of
color (see pages 14 & 15 for more information) so that they are better positioned in their field to further
their impact in the communities that need them most. We believe that in order to address the significant
financial insecurity facing families and communities of color, we must strengthen the local organizations
of color that are on the frontlines addressing these communities needs and concerns and providing greater
economic opportunity.
Sincerely,
Dedrick Asante-Muhammad
Director, Racial Wealth Divide Initiative, CFED
2 JANUARY 2017 For more information, visit www.cfed.org/rwd
The Racial Wealth Divide in
Baltimore
E BALTIMORE HIGHLIGHTS
conomic inequality has expanded over the past decade, shutting the
windows of opportunity for millions of Americans. In urban centers, this
growing inequality has manifested through gentrification and concentrated
poverty in communities of color. POPULATION
2% 3%
Though Baltimore bills itself as a city of the future, the economic plight of many 4% ASIAN OTHER
of its residents suggest a struggle to break free of the past. Indeed, historical LATINO
policies designed to “quarantine blacks,” as Baltimore’s mayor put it in 1911,
have contributed to a city in which one’s race is a dominant determinant of one’s
overall life outcomes.1 28%
WHITE
Policymakers at all levels have influenced Baltimore’s economic disparities today.
63%
BLACK
The city passed the nation’s first racially restrictive voting law in 1911, which
prevented residents of one race from buying a home in neighborhoods dominated
by residents of another race. It also formed a Committee on Segregation to enforce
racially restrictive covenants, which prohibited the sale of homes to Black buyers. MEDIAN INCOME
At the federal level, lawmakers developed a system of “Redlining” to prevent The average White household
Black families from financing home purchases. By outlining Black neighborhoods makes nearly
2X
in red on government maps, entire neighborhoods were considered poor credit
risks and thus were not eligible for federally-insured mortgages. Black families
turned to contract sales and other high-cost, risky financing sources; a single
missed payment could mean losing a home.
the income of
Though no longer officially legislated, Blacks remain isolated more than 100
the average Black household
years later. Black residents make up 63% of Baltimore’s population and do worse
than the African American national average on nearly every outcome measure.
UNEMPLOYMENT RATE
Whites, on the other hand, constitute 28% of the population and fare better than
national averages on most outcomes. Baltimore’s racial inequality among African The unemployment rate of workers of
Americans and Whites mirrors the inequality we find nationally, except in terms color in Baltimore is
3X
of employment and education. In Baltimore, more than twice as many Black
families as Whites live in liquid asset poverty, meaning they do not have sufficient
savings to subsist at the poverty level for three months in the absence of income.
The homeownership gap, central to the origin and current pervasiveness of the
city’s racial inequity, remains substantial, with 42% of Blacks owning their home
compared with 60% for Whites. And with a difference of $80,000 in value, median the rate for White workers
home prices also reflect the long-term effects of Baltimore’s redlining efforts.
Meanwhile, Latinos and Asians are underrepresented compared with national ZERO NET WORTH
demographics – 4.5% and 2.5% of Baltimore’s population, respectively. Latinos’
outcomes trend similar to those of Black residents. Asians tend to fare worse than
1/3
Whites but better than Blacks and Latinos.
1
Economic Policy Institute: “From Ferguson to Baltimore: The Fruits of Government-Sponsored
Segregation” http://www.epi.org/blog/from-ferguson-to-baltimore-the-fruits-of-government-
sponsored-segregation/
of households of color in
Baltimore have zero net worth
RACIAL WEALTH DIVIDE INITIATIVE For more information, visit www.cfed.org/rwd
The Racial Wealth Divide in Baltimore
The economic disenfranchisement of Baltimore’s Black residents has extended to other life outcomes as well. The
percentage of people with a bachelor’s degree is 3.2 times higher for Whites than for Blacks. In a time when a college
degree is often a minimum requirement to secure a job, it is unsurprising then that the unemployment rate is three
times higher for Black residents. And among business owners, White firms are valued nearly 20 times higher than
those owned by Blacks.
Baltimore’s Police Commissioner recently told the White House that he was dealing with “1950s-level black-and-white
racism.” Though the city has long since abolished its Committee on Segregation, it has considerable work to do to
reverse the effects of its racist policies.
The Racial Wealth Divide Initiative at CFED understands that redressing the disparity in economic outcomes requires an
inclusive approach that addresses not only the disparities themselves, but also their root causes. Through work funded
by JPMorgan Chase, the Racial Wealth Divide Initiative has launched a project to build the capacity of organizations of
color working in economically marginalized communities to support wealth-building efforts.
HOUSING SEGREGATION &
HOUSEHOLD INCOME IN BALTIMORE
4 JANUARY 2017 For more information, visit www.cfed.org/rwd
The Racial Wealth Divide in Baltimore
HOUSEHOLDS OF COLOR IN
RACIAL WEALTH DIVIDE LIQUID ASSET POVERTY …
IN BALTIMORE
In Baltimore, people of color are disproportionately affected by local and
national trends in employment, income and involvement in the criminal
justice system. For the African American community, which is over 60% of
the Baltimore population, unemployment is at 14% compared to the White
66%
unemployment rate of 3.6% in 2015. There is also strong racial inequality
in educational achievement, household income and asset ownership.
Unfortunately, Baltimore’s racial inequality mirrors national inequality. These
data further illustrate a troubling reality in America, there are millions of
people, and particularly people of color, who are living without the means to
save or build a basic safety net for financial emergencies, let alone build the
wealth needed to lay the foundation for upward mobility.
POPULATION LIQUID ASSET POVERTY BY RACE
MEDIAN HOUSEHOLD INCOME
5
HOUSEHOLD WITH ZERO NET WORTH HOMEOWNERSHIP RATE COST-BURDENED RENTERS
COST-BURDENED RENTERS
Note: Estimates of liquid asset poverty and households with zero net worth not published by CFED’s Assets & Opportunity Scorecard are derived from a statistical model to create geographic estimates at the
local level and are not meant to directly reflect the SIPP data. Caution should be used in interpreting the local estimates as the statistical model is based on national surveys of fewer than 50,000 households.
Liquid Asset Poverty: A measure of the liquid savings households hold to cover basic expenses for three months if they experienced a sudden job loss, a medical emergency or
another financial crisis leading to a loss of stable income.
For more information, visit www.cfed.org/rwd JANUARY 2017 5
The Racial Wealth Divide in Baltimore
BACHELOR’s DEGREE OR HIGHER UNEMPLOYMENT RATE
Only 13% of Black adults in Baltimore The unemployment rate for Black households
finish a Bachelor’s degree or higher compared to in Baltimore is over 3X the rate for White
51% of White adults households.
INCARCERATION RATES
The mass incarceration of African Americans is a well-observed reality in the United States.
In Baltimore, although a little more than 60% of Baltimore’s population is African American,
almost 85% of those incarcerated in 2014 were African American. This disparity is of even
greater import when considering the long term economic consequences. According to
studies, following the release from prison, wages grow at a 21% slower rate for Black former
inmates compared to White former inmates.2
Population in Baltimore City
BLACK 62% 30% WHITE
9 out of 10 inmates are Black
2
http://www.jstor.org/stable/10.1525/sp.2011.58.2.257
6 JANUARY 2017 For more information, visit www.cfed.org/rwd
The Racial Wealth Divide in Baltimore
VACANT HOMES AND A SHRINKING CITY
7
Baltimore has 30,000 vacant homes and lots according to the Housing Authority of Baltimore City. These vacancies are
concentrated in neighborhoods with low incomes and high proportions of households of color.
As Baltimore struggles to reverse a decades-long population decline, the city’s growing number of vacant buildings
serves as a useful indicator. Since a peak in the 1950s, the population has dropped by nearly a third from 950,000 down
to 622,000 in 2014. The population decline can be attributed in large part to the closings of the city’s factories and
shipyards after World War II. Baltimore also became more racially homogenous as Whites left for the suburbs.
Today, Baltimore’s vacant buildings stand as reminders, both of the city that once was and of the economic insecurity
that exists today. As illustrated in the adjacent map, the areas with the highest concentration of homicides correspond
almost exactly with the city’s vacancies. These are the neighborhoods where most families live near or below the poverty
line and where Black households are the overwhelming majority.
For more information, visit www.cfed.org/rwd JANUARY 2017 7
The Racial Wealth Divide in Baltimore
VACANT BUILDINGS AND HOUSEHOLD
INCOME IN BALTIMORE
8 JANUARY 2017 For more information, visit www.cfed.org/rwd
The Racial Wealth Divide in Baltimore
HOMICIDES AND VACANCIES
2015 marked the highest homicide rate in Baltimore’s history. 343 people were killed, over 90 percent of whom were
Black. While the number of homicides was slightly higher in 1993 (353), the population was also higher by about 100,000
people. This level of violence has become a trend: between 2011 and today, 1,440 people have been killed in Baltimore.
Why the increase in violence? There is no shortage of theories to explain it—a dearth of jobs and opportunities, poor
schools, underinvestment in public services. The plight of the city’s most vulnerable residents mirrors that of cities across
the country.
As residents began leaving Baltimore in the 1950s, public investment followed them to the suburbs. While the city’s
population has dropped, the surrounding counties have grown by leaps and bounds. And along with the people came
investments in roads, schools, and businesses, leaving far fewer resources for the core city.
VACANT BUILDINGS AND HOMICIDES
IN BALTIMORE
9
For more information, visit www.cfed.org/rwd JANUARY 2017 9The Racial Wealth Divide in Baltimore
THE FOUNDATION OF THE RACIAL DIVIDE: EDUCATION, HEALTH AND
WEALTH
In Baltimore, the relationship between wealth and educational and health outcomes is stark, and even more so when
one overlays race. One measure is the number of adults without a high school diploma: among African Americans, the
number is just over one in five (21.8%), compared to a little more than one in ten (12.8%) among Whites. This disparity
widens in higher degree attainment, with only 13% of African Americans in Baltimore having a B.A. or higher, compared
to 51% of Whites.
When overlaid with health outcomes – the impact of deep inequality in schools, health and wealth becomes clear. In 2013,
the City of Baltimore Public Health Commission found that for those with less than a HS diploma, the mortality rate was
almost five times greater (4.72) than for those with some college education or higher.3
These disparities persist when looking at race. When reviewing infant mortality, Black infants had a mortality rate that
was 1.55 times greater than White infants. Black males who grow to manhood are 17.5 times more likely to die from
homicide than their White peers.
Among the top 10 largest employers in Baltimore, four are hospitals and three are universities. These universities and
hospitals educate and serve thousands each year – yet for those who live in Baltimore, particularly those of African
descent, there is clearly more to be done to ensure equitable access to their services.
3
Barbot, Oxiris. Baltimore City Health Disparities Report Card, Baltimore City Health Department, Office of Epidemiologic Services, April 2014.
10 JANUARY 2017 For more information, visit www.cfed.org/rwdThe Racial Wealth Divide in Baltimore
POPULATION AND DEMOGRAPHICS
Data Measure Baltimore Baltimore MSA* Maryland United States
Total Population 622,271 2,753,396 5,887,776 314,107,084
White 174,732 1,624,225 3,153,084 197,159,492
Black or African American 388,945 782,746 1,710,040 38,460,598
Asian 15,522 134,734 342,626 15,536,209
Hispanic or Latino 27,751 136,473 515,724 53,070,096
Total Households 242,212 1,032,863 2,155,983 116,211,092
White 78,990 651,581 1,265,487 80,989,398
Black or African American 145,646 289,004 625,470 14,042,937
Asian 6,222 42,822 108,072 4,902,796
Hispanic or Latino 7,537 34,737 125,610 14,047,027
U.S. Citizenship Rate 95.3% 95.3% 92.5% 92.9%
White 97.7% 98.8% 98.5% 98.5%
Black or African American 97.9% 96.8% 94.6% 95.8%
Asian 56.5% 67.5% 70.1% 72.0%
Hispanic or Latino 62.6% 70.5% 62.8% 75.6%
Speak English Less Than "Very Well" 3.4% 4.0% 6.3% 8.6%
White 1.9% 1.2% 1.4% 1.6%
Black or African American 1.0% 1.4% 2.5% 2.9%
Asian 30.1% 30.5% 31.5% 35.0%
Hispanic or Latino 35.9% 29.3% 35.6% 33.1%
HOUSEHOLD FINANCES
11 Data Measure Baltimore Baltimore MSA* Maryland United States
Median Household Income $41,819 $70,311 $74,149 $53,482
White $62,751 $83,001 $83,652 $58,847
Black or African American $33,801 $47,597 $58,657 $35,600
Asian $50,531 $88,031 $92,457 $73,244
Hispanic or Latino $44,116 $60,410 $62,493 $42,396
Income Poverty Rate 19.5% 7.7% 6.9% 11.5%
White 8.4% 3.9% 4.1% 7.2%
Black or African American 24.2% 16.2% 12.0% 23.4%
Asian 11.2% 7.6% 6.0% 9.3%
Hispanic or Latino 20.2% 11.6% 11.3% 22.3%
Unbanked Households 14.5% 5.3% 4.8% 7.7%
White 4.1% 2.3% 2.4% 3.6%
Black or African American 20.1% 15.3% 12.3% 18.4%
Asian 3.6% 2.0% 1.7% 2.6%
Hispanic or Latino 19.5% 13.9% 14.6% 19.7%
Underbanked Households 25.4% 25.4% 23.9% 20.0%
White 14.7% 13.2% 13.2% 15.0%
Black or African American 31.8% 31.8% 31.4% 32.8%
Asian 16.4% 16.3% 16.0% 17.2%
Hispanic or Latino 22.7% 22.1% 22.7% 22.7%
Asset Poverty Rate 36.4% 21.8% 23.0% 25.4%
White 20.3% 13.0% 12.9% 16.7%
Black or African American 45.6% 39.9% 34.9% 43.5%
Asian 32.9% 16.5% 13.8% 18.6%
Hispanic or Latino 45.8% 34.7% 34.7% 40.8%
Liquid Asset Poverty Rate 54.5% 35.4% 34.8% 43.5%
White 31.6% 24.2% 24.0% 31.7%
Black or African American 67.4% 58.5% 52.5% 64.9%
Asian 43.4% 29.2% 27.1% 34.9%
Hispanic or Latino 65.1% 55.7% 59.8% 68.5%
Households with Zero Net Worth 25.8% 15.9% 16.2% 17.0%
White 14.9% 9.9% 9.7% 11.9%
Black or African American 31.7% 28.8% 25.8% 30.4%
Asian 18.8% 10.2% 8.8% 10.6%
Hispanic or Latino 29.4% 24.1% 23.6% 26.2%
* The Baltimore-Columbia-Towson, MD metropolitan statistical area consists of Anne Arundel, Baltimore, Carroll, Harford, Howard, and Queen Anne’s Counties, and Baltimore city.
“-“ indicates that no data is available
For more information, visit www.cfed.org/rwd JANUARY 2017 11The Racial Wealth Divide in Baltimore
EMPLOYMENT AND BUSINESS OWNERSHIP
Data Measure Baltimore Baltimore MSA* Maryland United States
Labor Force Participation Rate 62.1% 67.6% 68.7% 63.7%
White 62.1% 67.9% 67.1% 63.2%
Black or African American 59.1% 65.6% 69.1% 62.0%
Asian 68.8% 69.9% 69.4% 65.3%
Hispanic or Latino 73.6% 75.7% 78.3% 67.3%
Unemployment Rate 10.1% 5.8% 5.5% 6.3%
White 3.6% 4.3% 4.2% 5.0%
Black or African American 14.4% 9.4% 7.9% 11.3%
Asian - 4.1% 4.2% 5.2%
Hispanic or Latino - 5.1% 5.5% 7.4%
Businesses Without Paid Employees 81.0% 78.9% 80.8% 80.4%
White 73.7% 76.8% 78.1% 79.4%
Black or African American 96.7% 95.4% 95.3% 95.8%
Asian 48.1% 67.5% 71.1% 74.9%
Hispanic or Latino 89.1% 87.1% 90.6% 91.3%
Business Value $1,390,310 $1,130,304 $966,160 $1,213,944
White $801,075 $577,688 $551,922 $508,406
Black or African American $40,879 $56,460 $68,671 $58,119
Asian $495,467 $416,001 $368,575 $364,717
Hispanic or Latino $164,804 $189,830 $124,716 $143,271
HOUSING & HOMEOWNERSHIP
Data Measure Baltimore Baltimore MSA* Maryland United States
Homeownership Rate 47.2% 66.5% 67.1% 64.4%
White 60.2% 77.1% 76.7% 71.9%
Black or African American 42.2% 46.3% 51.5% 43.0%
Asian 28.4% 60.4% 66.7% 57.9%
Hispanic or Latino 30.8% 48.2% 50.0% 46.3%
Median Property Value $150,000 $260,000 $275,000 $175,700
White $200,000 $299,000 $300,000 $182,946
Black or African American $120,000 $175,000 $220,000 $127,046
Asian $200,000 $342,000 $370,000 $347,474
Hispanic or Latino $160,000 $250,000 $260,000 $152,636
Cost Burdened Renters 55.8% 52.2% 51.9% 52.3%
White 47.2% 48.0% 47.8% 46.5%
Black or African American 59.3% 56.7% 55.7% 57.7%
Asian 47.3% 42.6% 43.8% 44.1%
Hispanic or Latino 58.2% 53.9% 55.6% 56.3%
Cost Burdened Owners 38.7% 32.8% 34.2% 34.2%
White 29.6% 29.9% 29.6% 29.4%
Black or African American 45.0% 39.4% 41.7% 42.4%
Asian 43.8% 35.7% 38.7% 39.6%
Hispanic or Latino 33.9% 46.1% 50.1% 44.0%
EDUCATIONAL ATTAINMENT
Data Measure Baltimore Baltimore MSA* Maryland United States
High School Degree or Higher 80.9% 89.2% 89.0% 86.3%
White 87.2% 92.1% 92.5% 91.4%
Black or African American 78.2% 84.7% 88.1% 83.2%
Asian 90.5% 90.4% 90.5% 85.8%
Hispanic or Latino 61.2% 71.5% 63.0% 64.1%
Bachelor's Degree 14.3% 20.6% 20.3% 18.2%
White 25.5% 23.6% 22.7% 20.3%
Black or African American 7.9% 13.0% 15.3% 12.3%
Asian 24.1% 29.1% 29.4% 29.4%
Hispanic or Latino 12.7% 16.9% 12.4% 9.4%
Graduate or Professional Degree 13.0% 16.0% 16.9% 11.0%
White 25.2% 18.1% 19.2% 12.3%
Black or African American 5.2% 9.0% 11.0% 7.0%
Asian 43.7% 31.3% 31.9% 20.9%
Hispanic or Latino 11.6% 10.5% 8.5% 4.4%
* The Baltimore-Columbia-Towson, MD metropolitan statistical area consists of Anne Arundel, Baltimore, Carroll, Harford, Howard, and Queen Anne’s Counties, and Baltimore city.
“-“ indicates that no data is available
12 JANUARY 2017 For more information, visit www.cfed.org/rwdThe Racial Wealth Divide in Baltimore
DATA MEASURES & SOURCES
Data Measure Measure Description Source
Total Households Total number of households U.S. Census Bureau, 2010-2014 American Community Survey
Demographics
Population
Total Population Total population U.S. Census Bureau, 2010-2014 American Community Survey
Population with Disability Percentage of population living with a disability U.S. Census Bureau, 2010-2014 American Community Survey
U.S. Citizenship Rate Percentage of population that are U.S. citizens U.S. Census Bureau, 2010-2014 American Community Survey
Speak English Less Than
Percentage of population that speaks English less than "very well" U.S. Census Bureau, 2010-2014 American Community Survey
"Very Well"
Median Household Income Median household income in the past 12 months U.S. Census Bureau, 2010-2014 American Community Survey
Percentage of all families with income in the past 12 months below the federal
Income Poverty Rate U.S. Census Bureau, 2010-2014 American Community Survey
poverty threshold
2013 FDIC National Survey of Unbanked and Underbanked
Households, for US, States, DC and 71 largest MSAs. Local
Estimates: Estimates at smaller geographies are derived from
Unbanked Households Percentage of households lacking both a checking and savings account
CFED’s statistical modeling process using the FDIC and 2009-2013
American Community Survey data. The figures are geographic
estimates and are not meant to directly reflect the FDIC data.
Household Finances
2013 FDIC National Survey of Unbanked and Underbanked
Percentage of households that have a checking or savings account but have used Households, for US, States, DC and 71 largest MSAs. Local
non-bank money orders, non-bank check cashing services, payday loans, rent-to- Estimates: Estimates at smaller geographies are derived from
Underbanked Households
own agreements, or pawn shops at least once or twice a year or refund anticipation CFED’s statistical modeling process using the FDIC and 2009-2013
loans at least once in the past five years. American Community Survey data. The figures are geographic
estimates and are not meant to directly reflect the FDIC data.
Estimates calculated by Haveman Economics, based on
Percentage of households without sufficient net worth to subsist at the poverty U.S. Census Bureau's 2008 Survey of Income and Program
Asset Poverty Rate
level for three months in the absence of income Participation, Wave 10 (2011) and 2009-2013 American
Community Survey
13
Estimates calculated by Haveman Economics, based on
Percentage of households without sufficient liquid assets to subsist at the poverty U.S. Census Bureau's 2008 Survey of Income and Program
Liquid Asset Poverty Rate
level for three months in the absence of income Participation, Wave 10 (2011) and 2009-2013 American
Community Survey
Estimates calculated by Haveman Economics, based on
Households with Zero Net U.S. Census Bureau's 2008 Survey of Income and Program
Percentage of households with zero or negative net worth
Worth Participation, Wave 10 (2011) and 2009-2013 American
Community Survey
Labor Force Participation Percentage of civilian labor force who are employed or unemployed but actively
U.S. Census Bureau, 2010-2014 American Community Survey
Rate searching for employment
Employment
& Business
Percentage of civilian labor force who are unemployed but actively searching for
Unemployment Rate U.S. Census Bureau, 2015 American Community Survey
employment
Businesses Without Paid
Percentage of total businesses that do not employ paid workers U.S. Census Bureau, 2012 Survey of Business Owners
Employees
Business Value Average sales or reciepts earned per firm U.S. Census Bureau, 2012 Survey of Business Owners
Homeownership
Homeownership Rate Percentage of occupied housing units that are owner occupied U.S. Census Bureau, 2010-2014 American Community Survey
Housing &
Median Property Value Median value, in 2014 dollars, of owner-occupied housing units. U.S. Census Bureau, 2010-2014 American Community Survey
Percentage of renter-occupied units spending 30% or more of household income on
Cost Burdened Renters U.S. Census Bureau, 2010-2014 American Community Survey
rent and utilities
Percentage of mortgaged owners spending 30% or more of household income on
Cost Burdened Owners U.S. Census Bureau, 2010-2014 American Community Survey
selected monthly owner costs
Less than High School Percentage of population 25 and older who have not completed high school U.S. Census Bureau, 2010-2014 American Community Survey
Percentage of population 25 and older who have a high school degree, GED or
Educational
Attainment
High School Degree U.S. Census Bureau, 2010-2014 American Community Survey
alternative degree only
Percentage of population 25 and older who have an associate's (2 year college)
Associate's Degree U.S. Census Bureau, 2010-2014 American Community Survey
degree or some college
Percentage of population 25 and older who have at least a bachelor's (4 year
Bachelor's Degree U.S. Census Bureau, 2010-2014 American Community Survey
college) degree
Graduate or Professional
Percentage of population 25 and older who have a graduate or professional degree U.S. Census Bureau, 2010-2014 American Community Survey
Degree
For more information, visit www.cfed.org/rwd JANUARY 2017 13The Racial Wealth Divide in Baltimore
BUILDING HIGH IMPACT NONPROFITS OF COLOR PROJECT
In order to address the national challenge of a broad and deep racial wealth divide, communities of color need nonprofits
of color with high-impact asset-building services. CFED’s Racial Wealth Divide Initiative aims to strengthen the capacity
of nonprofits of color to support economic opportunity through the work of the Building High Impact Nonprofits of Color
project.
The project has three key goals: to build leadership and organizational capacity, improve organizations’ understanding
of the connection between assets and the racial wealth divide, and provide networking and convening opportunities so
organizations of color can build strong relationships within and across networks.
By the end of 2017, this project will equip more than 20 organizations with strategies and skills to launch, expand or
improve wealth-building initiatives for communities of color across the country. CFED’s Racial Wealth Divide Initiative
will continue partnering with organizations to support their growth and development, share CFED resources and
analysis and continue learning about best practices for addressing racial economic inequality at the local level.
Below are the six nonprofit organizations of color that the Racial Wealth Divide Initiative is working with in Baltimore,
MD. Each of these organizations is working within their respective communities to help bridge the racial wealth divide
and promote financial literacy and capability in their communities. Despite the widening of the racial wealth gap,
these organizations and others like them are developing, piloting, managing and replicating primer programs and best
practices to address the inequalities in Baltimore and the nation.
Baltimore, MD: Building High Impact Nonprofits of Color
Bon Secours Community Works
(https://bonsecours.com/baltimore/our-services/community-services/family-support-center)
Bon Secours Community Works’ (Community Works) mission is to enrich West Baltimore
communities with programs and services that contribute to the long-term economic and social viability
of neighborhoods. Community Works provides family support services, workforce development,
and economic education. Community Works impacts low-income residents of southwest Baltimore,
93% of whom are African American and 69% are women. In 2016, Community Works worked with
approximately 2,400 low-income area residents, helping 104 clients gain employment; 207 families
avoid homelessness through their Eviction Prevention Assistance Program; 60 clients earn their
Certified Nursing Assistant (CNA) or Geriatric Nursing Assistant (GNA) certification; employed and
trained 32 youth in the 8-week summer work and career prep program; and enrolled 212 clients in
the Re-Entry Life Skills Training Program. Community Works addresses racial wealth inequality by
providing multiple services to address the wraparound needs of low-income families in Baltimore.
Center for Urban Families (www.cfuf.org)
Center for Urban Families’ (CFUF) mission is to disrupt poverty in Baltimore and across the country.
CFUF strengthens urban communities by helping fathers and families achieve stability and economic
success. CFUF is changing kids’ lives one adult at a time. CFUF primarily serves low-income
African American parents and more than half have been previously incarcerated. CFUF is located
in and anchors West Baltimore. CFUF provides a host of community development and economic
empowerment services. Between, 2010 and 2015, 60,000 children and their parents have been impacted
by CFUF. 27,006 individuals have received services through program activities, and 3,543 members
have gained full-time job placements. CFUF strategies to address racial economic inequality include
providing individuals with a safe space to heal from past trauma, while also creating sustainable
change by providing ongoing wraparound services. Additional, CFUF emphasizes responsible
fatherhood as Baltimore’s primary anti-poverty strategy, changing the outcomes for multiple
generations of disenfranchised Baltimore citizens.
14 JANUARY 2017 For more information, visit www.cfed.org/rwdThe Racial Wealth Divide in Baltimore
Druid Heights Community Development Corporation, Inc (www.druidheights.com)
Druid Heights Community Development Corporation, Inc.’s (Druid Heights) mission is to cause,
encourage and promote community self-empowerment through the development of economic,
educational, employment and affordable housing opportunities. Druid Height’s service area is
Central West Baltimore. Druid Heights provides various community development and economic
empowerment programs including: HUD certified housing counseling, affordable and market rate
housing developments, after-school homework assistance and tutoring, re-entry services, financial
literacy classes, and job readiness training. Annually, Druid Heights provides housing counseling
services to over 450 individuals and serves over 200 youth. To date, Druid Heights has built 213
housing units, removed blight and demolished 214 vacant buildings, which created community green
space and reduction of open air drug markets. Druid Heights seeks to narrow the racial economic
divide by increasing income and asset building opportunities for families and youth through education,
employment and housing services.
Latino Economic Development Center (www.ledcmetro.org)
Latino Economic Development Center’s (LEDC) mission is to drive the economic and social advancement
of low- to moderate- income Latinos and other underserved communities in the Washington, D.C.
and Baltimore Metropolitan Area by equipping them with the skills and tools to achieve financial
independence. LEDC’s bilingual and multicultural staff support clients in purchasing homes, building
businesses and advocating to preserve the integrity of their communities. LEDC has four core program
areas: small business development; small business lending; homeownership; and affordable housing
preservation. In 2015, through these program areas LEDC has trained over 700 entrepreneurs, helped
130 families avoid foreclosure, organized and educated 3,000 tenants to preserve 60 buildings with
affordable rents and helped in the creation of 60 new businesses. LEDC’s strategies to address the racial
wealth divide include financing and educating entrepreneurs and microenterprises, helping aspiring
homeowners purchase homes and those with homes avoid foreclosure, and organizing tenants to
preserve affordable housing in quickly changing communities.
15
Muse 360 Arts (www.muse360.org)
Muse 360 Arts’ mission is to provide Baltimore youth of diverse backgrounds with high quality artistic
training and experiences that inspires them to reach their full potential in life. Muse 360 Arts serves
over 400 youth annually in Baltimore City. Muse 360 Arts manages three core programs which use
the arts to educate, build confidence, instill discipline, and drive cultural awareness while creating
and empowering leaders. Muse 360 Arts’ vision is to guide people in their pursuit of cultural arts
and personal development to ultimately facilitate change in their community. Muse 360 Arts serves
over 1,000 people annually and provides financial literacy, business skills, arts and entrepreneurship
workshops to 60 youth annually. Muse 360 Art’s strategy to address racial wealth inequality is to build
intellectual competencies in critical thinking and empowered leadership and expose youth to a broader
perspective of the world to be leaders in their communities and globally.
Urban Alliance (http://theurbanalliance.org)
Urban Alliance’s (UA) mission is to empower under-resourced youth to aspire, work and succeed
through paid internships, formal training and mentorship. UA serves economically disadvantaged
high school students who are on the verge of graduation, but are at high risk of not connecting to
continued education or sustainable work. Program activities include: professional paid internships,
job skills training and professional “soft skills” development training, career mentorship, financial
literacy training, case management, alumni follow up services, early college and dual enrollment, and
curriculum outreach. 100% of UA interns graduate from high school on time, 80% of alumni connect
to work or education pathways that lead to economic self-sufficiency within one year post program.
UA’s strategies to address racial economic inequality are to help under-resourced youth transition into
the workplace through comprehensive programs; to advocate and promote pathways to employment
by encouraging career training and job experiences and providing structure through links between
high schools and employers. In addition, collect and publicize data on positive results of high-quality
interventions and outcomes for young people involved in early work development programs.
For more information, visit www.cfed.org/rwd JANUARY 2017 15The Racial Wealth Divide in Baltimore
BUILDING HIGH IMPACT NONPROFITS PROJECT PARTNERS
CFED’s work makes it possible for millions of people to achieve financial security and contribute to an opportunity
economy. We scale innovative practical solutions that empower low- and moderate-income people to build wealth.
We drive responsive policy change at all levels of government. We support the efforts of community leaders across the
country to advance economic opportunity for all. Established in 1979 as the Corporation for Enterprise Development,
CFED works nationally and internationally through its offices in Washington, DC; Durham, North Carolina, and San
Francisco, California.
Racial Wealth Divide Initiative (RWDI) at CFED works to strengthen the ability of all CFED’s programs to
proactively address racial wealth inequality and deepen analysis of asset poverty challenges impacting communities
of color. RWDI launches and implements projects that highlight best practices for eradicating racial wealth inequality,
including collaborating with local and regional organizations. RWDI supports the efforts of CFED and its partners to
drive policy solutions that reduce racial economic inequality at the national, state and local levels.
JPMorgan Chase & Co. is a leading global financial services firm with assets of $2.4 trillion and operations worldwide.
The firm is a leader in investment banking, financial services for consumers and small businesses, commercial banking,
financial transaction processing and asset management. A component of the Dow Jones Industrial Average, JPMorgan
Chase & Co. serves millions of consumers in the United States and many of the world’s most prominent corporate,
institutional and government clients under its JPMorgan and Chase brands. The firm uses its global resources,
expertise, insights and scale to address some of the most urgent challenges facing communities around the world,
including the need for increased economic opportunity.
The Center for Public & Nonprofit Leadership at Georgetown University’s McCourt School of Public Policy is a
leading education, research and training center dedicated to the development of public, nonprofit and philanthropic
leadership. Our programs for students, practitioners and policymakers increase their capacity to work across
organizations, communities and sectors to address public needs, tackle public problems and, above all, promote the
public good.
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